This discussion clarifies the Goods and Services Tax (GST) rate applicable to subcontracts for government road works. The consensus is that the original GST rate of 12%, as specified in the work order, should also apply to all subsequent subcontracts awarded down the chain. Therefore, contractors A, B, and C will all be subject to the 12% GST rate.
22 November 2021
Sir A is government contractor. He received work order of Road Work from Government with 12 % GST. After that he give sub contract to B . After that B give sub contract to C.
I have question, what will GST Rate is applicable to A , B & C ? Please reply